tb chap 9 - 1. Which of the following is not an underlying...

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1. Which of the following is not an underlying assumption of cost-volume-profit analysis? a. Variable costs are constant per unit within a relevant range. b. The possibility of cost changes is eliminated. c. Mixed costs can be separated into variable and fixed elements. d. Sales and production are not always equal. correct: d 2. The contribution margin ratio (CM%) represents: a. variable cost as a proportion of revenue. b. variable cost as a proportion of total costs. c. the portion of the revenue dollar that can be used to cover fixed costs and profit. d. the portion of the revenue dollar that can be used to cover variable costs and profit. correct: c 3. At the break-even point: a. sales revenues equal total costs. b. sales equals fixed costs. c. contribution margin equals variable costs. d. variable costs equal fixed costs. correct: a 4. Cost-volume-profit analysis: a. is used to prepare external financial statements. b.
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tb chap 9 - 1. Which of the following is not an underlying...

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